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Evaluating Public-Sector Pensions: Are Federal Public Servants Overpaid?

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April 2, 2014

Federal public servants have pension guarantees in their defined-benefit pension plans that are mispriced, causing Ottawa to seriously underestimate the cost of the pension plans and the total compensation of its employees, according to a report released today by the C.D. Howe Institute.  In “Evaluating Public-Sector Pensions: Are Federal Public Servants Overpaid?” respected pension expert Malcolm Hamilton says this advantageous situation for members of the main Public Service Pension Plan exacerbates the growing compensation gap between federal public-sector employees and their private-sector counterparts.

 

Author(s):

Malcolm Hamilton, Former Partner, Mercer
Malcolm Hamilton

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